Coinsquare launches subsidiary investment manager Coincapital

Cryptocurrency exchange Coinsquare has launched Coin Capital Investment Management (Coincapital), a new subsidiary dedicated to investment management in blockchain, AI, and other cryptocurrencies.

Coinsquare said Coincapital has been registered with the Ontario Securities Commission as an exempt market dealer, investment fund manager, and portfolio manager. Coincapital has already partnered with Deutsche Boerse Group’s index provider STOXX as it plans to launch two indices: the B.R.AI.N. Index, which will track a portfolio of securities focused on the AI, biotech, robotics, and nanotechnology sectors; and the STOXX Yewno Developed Markets Blockchain Index, which will identify companies that invest in blockchain technologies.

“There is a strong appetite for investors to access growth in the technology sector, but not enough specialized or niche offerings available to them,” said Lewis Bateman, CEO of Coincapital. “We are at a critical inflection point in the technology sector and Coincapital is perfectly positioned, given its relationship to Coinsquare and deep sector expertise, to take advantage of the next phase of industry growth.

“There is a strong appetite for investors to access growth in the technology sector, but not enough specialized or niche offerings available to them.”

“With the launch of Coincapital, we will leverage our knowledge of the emerging technology sector to provide an excellent investment opportunity for Canadians across a wide range of high growth assets,” said Cole Diamond, CEO of Coinsquare. “When it comes to emerging technologies, investors are excited about the opportunity but should not trust generic ETF firms chasing the next big trend. Coincapital solves that problem by bringing deep sector expertise to the table.”

Earlier this month, Coinsquare appointed former Postmedia chief digital officer Thomas Jankowski to take on the role of chief digital and growth officer. Coinsquare also launched Coinsquare Licensing, a division that will allow domestic and international businesses to offer a digital currency trading solution powered by Coinsquare’s technology to their clients.

Coinsquare raised a $10.5 million Series A investment in December 2017, and a $30 million equity financing round with Canaccord in February 2018. Previous reports have indicated that Coinsquare hopes to raise $150 million through an IPO this September.

BetaKit's FinTech coverage is brought to you by Sage Intacct. Join Sage Intacct for a live webcast June 11 as Bruce Croxon, partner at Round13 Capital, and Matt Hodgson, CFO at Vidyard, address the challenges and opportunities of a shifting landscape.

Amira Zubairi is a staff writer and content creator at BetaKit with a strong interest in Canadian startup, business, and legal tech news. In her free time, Amira indulges in baking desserts, working out, and watching legal shows.